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Author Question: Deflation generally occurs when which of the following occurs? A) the consumer price index is ... (Read 125 times)

tingc95

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on: Jun 30, 2018
Deflation generally occurs when which of the following occurs?
 
  A) the consumer price index is greater than the GDP deflator
  B) the consumer price index decreases
  C) the rate of inflation falls, for example, from 4 to 2
  D) nominal GDP does not change

Question 2

A firm's value added equals
 
  A) its revenue minus all of its costs.
  B) its revenue minus its wages.
  C) its revenue minus its wages and profit.
  D) its revenue minus its cost of intermediate goods.
  E) none of the above


mochi09

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Reply #1 on: Jun 30, 2018
Answer to Question 1

B

Answer to Question 2

D


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